EU and US could reach trade deal this weekend - Reuters
MORRISVILLE, NC – Charles & Colvard Ltd. (NASDAQ:CTHR), a company specializing in jewelry, announced organizational changes to its board of directors. On Monday, Benedetta Casamento resigned from her position on the board, effective immediately. According to the company's recent 8-K filing with the Securities and Exchange Commission, her departure was not due to any disagreement with the company regarding its operations, policies, or practices.
In conjunction with this departure, the company's board also amended its bylaws on the same day, reducing the range of the number of directors. The board can now consist of between four and nine directors, a change from the previous range of five to ten directors. This amendment was made effective immediately on January 20, 2025.
The details of these changes were outlined in the 8-K filing made public on Friday, January 24, 2025. Charles & Colvard has not provided any additional information regarding the reason for Casamento's resignation or the implications of the bylaw amendment for the company's governance structure.
This move comes at a time when corporate governance and board composition are under increasing scrutiny by investors and regulatory bodies. The adjustment to the bylaws may offer the company more flexibility in managing its board size and composition. InvestingPro data reveals the company maintains a healthy current ratio of 2.47 and holds more cash than debt on its balance sheet, suggesting financial stability despite recent challenges. InvestingPro subscribers have access to 15 additional key insights about CTHR's financial position and market performance.
Charles & Colvard, established in North Carolina, is recognized in the industry for its creation of moissanite, a lab-grown gemstone used in various jewelry pieces. The company's headquarters are located at 170 Southport Drive, Morrisville, NC, and it operates under the leadership of its current executive team.
In other recent news, Charles & Colvard has reported delayed quarterly results, filing a Notification of Late Filing with the Securities and Exchange Commission (SEC). The company also experienced a significant 25% annual sales drop for the fiscal year ended June 30, 2024, with net sales falling to $22.5 million. In addition, it anticipates a substantial net loss for the year, a deviation from the previous year's $19.6 million net loss.
In response to these developments, top executives and directors, including President and CEO, Don O'Connell, and CFO, Clint J. Pete, have agreed to a 10% reduction in their base salaries. On the corporate front, Charles & Colvard rejected director nominations from Riverstyx Capital Management's principal, Ben Franklin, due to non-compliance with the company's bylaws.
Furthermore, the company announced a reverse stock split at a one-for-ten ratio, reducing its number of outstanding shares. Charles & Colvard also received a non-compliance notification from Nasdaq due to a delay in filing its annual financial report but remains committed to regaining compliance within the provided timeframe. Lastly, as part of its strategic initiatives, Charles & Colvard launched a new gem brand, For Everbright.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.